The Syrah Resources Ltd (ASX: SYR) share price is down 7 per cent to 51 cents today after the Mozambique-based graphite miner flagged a statutory net loss of US$81.4 million on revenue of US$46.9 million for the six-month period ending June 30, 2019.
The loss ballooned on the back of a US$65.9 million write down on the value of its mining assets and property, alongside a US$4.8 million write down to the value of existing inventory. The miner had cash on hand of US$64.7 million as at June 30 2019.
CEO, Shaun Verner, said, "During the first half of 2019, production of 92,000 tonnes and sales of over 100,000 tonnes saw Balama become globally significant in the natural graphite market, with growth in sales to China and Balama product going into the battery supply chain."
The stock is tanking after Syrah announced on September 10 that graphite prices had taken a "sudden and material" turn for the worse due to waning Chinese demand. As a result the miner will slash production over the second half of 2019.
Elsewhere on the S&P/ ASX200 (ASX: XJO) gold miners are taking a tumble today with Northern Star Resources Ltd (ASX: NST) down 4.7% and Evolution Ltd (ASX: EVN) down 4%.
